More than £1bn in state pensions underpaid

It is estimated that the 134,000 people have not been paid up to £8,900 in state pension payments due to outdated IT systems and ‘repeated human errors’ made by the Department for Work and Pensions (DWP)

A report by the National Audit Office (NAO) reveals that around 1.05bn worth of UK state pensions has not been paid by the DWP with claims that some people were denied payments of as much as £100,000.

The report by the public spending watchdog stated that the errors happened because state pension rules were ‘complex’, IT systems ‘outdated and not automated’, and the administration of claims required a high degree of manual review and understanding by case workers.

The NAO state that of those affected a majority are likely to be women with the errors affecting pensioners who first claimed state pension before April 2016, do not have a full national insurance record, and should have received certain increases in their basic state pension.

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